The UK's Financial Services Authority (FSA) is outsourcing its IT and telecommunications infrastructure to Fujitsu Services under an eight year deal worth around £80 million.
Fujitsu says it assumed responsibility for the running of the FSA's IT and telecommunications infrastructure on 1 April 2007.
As part of the programme, 40 employees from the FSA have been transferred to Fujitsu under TUPE (Transfer of Undertakings Protection of Employment) regulations.
Under the outsourcing deal, which includes a no penalty exit clause after five years, Fujitsu will upgrade, operate and manage the FSA's entire IT infrastructure, including systems integration of all major application development projects.
Fujitsu says it will upgrade the FSA's telecommunications infrastructure from an analogue system to a managed VoIP system in the next 12 months. The vendor will also provide on-going desktop, data centre and network support services and manage all business applications and supporting databases.
As part of the outsource Fujitsu will also transfer the delivery of FSA services to its own service delivery centres around the UK. This will include migrating and consolidating all of the FSA's datacentre requirements to Fujitsu's facilities.
Last year the UK regulator awarded a multi-year contract to overhaul its information systems (IS) division to a joint bid from Capgemini, Tata Consultancy Services (TCS) and Xansa.